August 10, 2006

Microsoft is in the process of unveiling to select retailers the first of its line of Zune wearable digital audio players and informed retailers it will offer a single unit this fall, available in three colors at a suggested retail price of $299.

Retailers who have been briefed by Microsoft told TWICE the player will offer Wi-Fi capability, but will require that the portable be connected to a PC for the actual purchase of songs. Retailers, who claimed Microsoft remained “fuzzy” on the Zune’s wireless capability, said only that Zune will allow users to bookmark songs that may be shared via Wi-Fi, but that users cannot purchase songs on the go from the Microsoft Zune Web site.

There’s more in the article, but of all of this mostly confirms what had been previously rumored (e.g. here) except for the price tag which is $100 less than prior rumors and in line with iPod pricing.